HOUSTON--(BUSINESS WIRE)--Oil States International, Inc. (NYSE: OIS) announced today that it has entered into an amended and restated credit agreement (the "Cash Flow Credit Agreement†) which provides for total commitments of $125 million, consisting of a $75 million revolving credit facility and a $50 million multi-draw term loan facility, which will be available to draw through July 28, 2026. Wells Fargo Bank, National Association ("Wells Fargo†) is the administrative agent for the Cash Flow Credit Ag ...

GREENWICH, Conn., Jan. 27, 2026 (GLOBE NEWSWIRE) -- Gabelli Funds, LLC, will host its 36th Annual Pump, Valve, & Water Systems Symposium at Convene 530 Fifth Avenue in New York, NY on Thursday, February 26th, 2026. The event will feature discussions with leading companies and organizations across the industrial landscape, with an emphasis on critical infrastructure, aerospace and defense, machine tools, and the oil and gas industry. Attendees will also have the opportunity to meet with management in a one-o ...

Core Viewpoint - The article discusses the attractiveness of sub-$10 energy stocks in the context of oil prices hovering around $60 per barrel, highlighting potential investment opportunities in companies like W&T Offshore, RPC Inc., and Oil States International as conditions may stabilize or improve [2]. Industry Overview - Oil prices have been affected by oversupply concerns, rising inventories, and easing geopolitical tensions, leading to pressure on producer economics and investor sentiment [2][3]. - The International Energy Agency (IEA) projects global oil demand growth of 930,000 barrels per day in 2026, but supply is expected to rise faster, creating a significant surplus [3]. - Benchmark crude prices remain below levels from a year ago, causing many U.S. independent producers to operate close to breakeven, which compresses margins and limits drilling activity [4]. Market Dynamics - Recent price weakness is attributed to oversupply and higher inventories, although the IEA suggests fears of a significant oil glut may be exaggerated [5]. - Investors face challenges in distinguishing between companies experiencing temporary pricing pressures and those with deeper business risks, making balance sheet strength and operational flexibility crucial [6]. Investment Opportunities - Sub-$10 energy stocks can provide diversification across producers, service providers, and equipment suppliers, but they often come with increased volatility [7]. - A disciplined investment approach should focus on financial resilience, industry positioning, and sensitivity to oil price movements [8]. Company Highlights - **W&T Offshore**: An independent oil and natural gas producer with a strong presence in the Gulf of America, holding interests in 50 offshore fields and generating positive cash flow for over 28 consecutive quarters. The company has a market capitalization of $281 million and a share price of $1.92 [9][11]. - **RPC Inc.**: A U.S.-based oilfield services provider with a debt-free balance sheet, known for returning excess free cash to shareholders. The company trades for less than $7, with a projected revenue growth of 6.4% for 2026 [12][14]. - **Oil States International**: Supplies products and services across the oil and gas value chain, with a projected revenue growth of 44.1% for 2026. Currently trading under $9, the company has a four-quarter earnings surprise of 12.5% on average [15][17].

Industry Overview - Oil prices have been fluctuating around the $60-per-barrel mark due to oversupply concerns, rising inventories, and easing geopolitical tensions, which have limited upward momentum [1] - The International Energy Agency (IEA) forecasts global oil demand growth of 930,000 barrels per day by 2026, but supply is expected to increase at a faster rate, leading to a significant surplus [2] - Current benchmark crude prices are significantly lower than a year ago, putting many U.S. independent producers near breakeven, which compresses margins and limits drilling activity [3] Market Dynamics - Recent price declines are primarily driven by oversupply and higher inventories, although the IEA suggests that fears of a substantial oil glut may be overstated [4] - Investors face challenges in distinguishing between companies experiencing temporary pricing pressures and those with more profound business risks, making balance sheet strength and operational flexibility critical [5] Investment Opportunities - Low-priced energy stocks under $10 can provide diversification across producers, service providers, and equipment suppliers, but they often come with increased volatility [6] - A disciplined investment approach should focus on financial resilience, industry positioning, and sensitivity to oil price movements [7] Company Highlights - **W&T Offshore (WTI)**: An independent oil and natural gas producer with a strong presence in the Gulf of America, generating positive cash flow for 28 consecutive quarters and maintaining a 90% drilling success rate [9][10] - **RPC, Inc. (RES)**: A U.S.-based oilfield services provider with a debt-free balance sheet, known for returning excess free cash to shareholders and expanding its service mix [13][14] - **Oil States International (OIS)**: Supplies products and services across the oil and gas value chain, with projected revenue growth of 44.1% by 2026 and operations in over 25 countries [16][18]

Summary of Oil States International Conference Call Company Overview - **Company**: Oil States International (NYSE: OIS) - **Market Capitalization**: $372 million as of November 18, 2025 [5] - **Free Cash Flow Yield**: 19% on a trailing twelve months (TTM) basis, considered attractive relative to size and peer group [6] - **Backlog**: $399 million as of September 30, 2025, the highest since 2015 [17] Core Business Segments 1. **Offshore Manufactured Products** - Largest segment with global exposure to key oil and gas basins [9] - Expected revenue growth of 13%-18% sequentially in Q4 2025 [22] - Strong market position with Flex Joint connector technology, holding an 80%-85% market share [12] 2. **Completion and Production Services** - Focus on high-grading differentiated product lines, exiting commoditized lower-margin offerings [10][18] - Emphasis on offshore production services, particularly in the Middle East [19] 3. **Downhole Technologies** - Currently facing challenges due to reduced U.S. shale activity [20] - Strategy includes improving domestic technology offerings and expanding internationally, particularly in Brazil and the Middle East [21] Investment Considerations - **Growth Drivers**: - Global energy demand and offshore growth are key drivers for the company [8] - Focus on technology-driven solutions and organic growth [26] - **Financial Health**: - Projecting to achieve net debt zero by the end of 2025 [24] - Strong cash flow generation expected to exceed $100 million for the year [23] - **Valuation**: - Trading at 5.2 times valuation, perceived as low compared to technology-rich offerings [7][31] - Potential for share repurchases and consideration of dividends based on shareholder preferences [34] Strategic Focus - **International Expansion**: - Shift towards more offshore and international projects due to reduced competition and more predictable revenues compared to U.S. shale [27][29] - **Technology Development**: - Continuous innovation with new products like Managed Pressure Drilling Systems and low-impact workover riser packages [13][17] - Adaptation of legacy oil and gas technology for new energy markets, including offshore wind and carbon capture [16][33] Risks and Challenges - **Market Cyclicality**: - U.S. shale market characterized by short cycles, making it more volatile compared to offshore projects [28][30] - **Operational Adjustments**: - Transitioning out of lower-margin business lines may incur costs related to lease exits and facility closures [23] Conclusion - Oil States International is positioned for growth with a strong backlog, innovative technology, and a focus on international markets. The company aims to enhance shareholder value through strategic investments and share repurchases while navigating the challenges of the energy sector.

Core Insights - The article discusses the author's extensive experience in stock analysis, particularly in the energy sector, focusing on oilfield equipment services and industrial supply industries [1]. Group 1 - The author has over 14 years of experience in stock analysis, covering both long and short positions in an unbiased manner [1]. - The primary focus of the author's analysis has been on the energy sector for the past 7 years, specifically the oilfield equipment services sector [1]. - The author also covers the industrial supply industry, indicating a broad expertise in related sectors [1].

Core Insights - The oil price remains strong, driving exploration and production activities, which boosts demand for drilling and production equipment [1][4] - Companies in the Zacks Oil and Gas - Mechanical and Equipment industry are experiencing rising backlogs, indicating a positive outlook [5][7] Industry Overview - The Zacks Oil and Gas - Mechanical and Equipment industry includes companies that provide essential oilfield equipment such as production machinery, pumps, and valves to exploration and production firms [3] - The industry's performance is closely linked to the spending of upstream energy companies, which rely on these equipment providers for extracting crude oil and natural gas [3] Future Outlook - The U.S. Energy Information Administration (EIA) projects that the average spot price of West Texas Intermediate (WTI) crude will be $65.15 per barrel in 2025, supporting strong demand for industry equipment [4] - Companies are implementing decarbonization initiatives to reduce Scope 1 and 2 emissions, aligning with global sustainability goals and enhancing their attractiveness to environmentally conscious investors [6] Backlogs and Financial Health - The industry is characterized by significant backlogs, indicating a strong demand for equipment and the ability to secure high-value projects [5] - Key players like NOV Inc. (NOV), Oil States International Inc. (OIS), and Natural Gas Services Group, Inc. (NGS) have strong balance sheets and minimal debt, providing resilience against market volatility [2][16][19][21] Performance Metrics - The Zacks Oil and Gas - Mechanical and Equipment industry has outperformed the broader Zacks Oil - Energy sector, with a 13.5% increase over the past year compared to the sector's 5.8% [9][10] - The industry currently trades at an EV/EBITDA ratio of 7.32X, lower than the S&P 500's 18.31X but higher than the sector's 5.47X [14] Stock Recommendations - NOV has a backlog of $4.56 billion, indicating strong future cash flow generation and a focus on cost reduction [16] - OIS is focusing on profitable offshore and international projects, supported by an increasing backlog and a strong balance sheet [19] - NGS benefits from the rising demand for compression equipment as the U.S. exports more liquefied natural gas (LNG) [21]

Core Viewpoint - Oil States International has announced a dual listing of its common stock on NYSE Texas, while maintaining its primary listing on the New York Stock Exchange, reflecting its commitment to the Texas energy sector [1][2]. Company Overview - Oil States International, Inc. is a global provider of manufactured products and services to the energy, industrial, and military sectors, with headquarters in Houston, Texas [3][4]. - The company was founded in Texas in 1942 and has a long-standing commitment to the Texas economy and energy industry [2]. Recent Developments - The dual listing on NYSE Texas aligns with Oil States' operational presence in Texas, where it has significant operations and personnel [2]. - The company continues to offer technology-differentiated products and services aimed at advancing the production of affordable and reliable energy [2]. Leadership and Operations - Cindy B. Taylor serves as the President and Chief Executive Officer of Oil States International [5][8]. - The company employs approximately 2,000 individuals and has strategically located manufacturing and service facilities worldwide [3][8].

Core Insights - Oil States International, Inc. (OIS) operates in the oil and gas sector, providing services and products for both offshore and onshore operations [1] Financial Performance - For the quarter ending October 31, 2025, OIS reported an EPS of $0.08, which was below the estimated $0.09 and the Zacks Consensus Estimate of $0.10, resulting in a 20% negative surprise [2][6] - The company's revenue for the quarter was $165.18 million, which was 1.4% below the Zacks Consensus Estimate of $167.68 million and represented a 5% decrease from $174.35 million reported in the same quarter last year [3][6] - Operating income for the quarter was $4.7 million, a 10% decline from the previous quarter, but a significant improvement from an operating loss of $11 million in the third quarter of 2024 [4] - Net income was $1.9 million, down 32% from the previous quarter's $2.8 million, yet a notable recovery from a net loss of $14.3 million in the same quarter of the previous year [4] Valuation Metrics - OIS has a price-to-earnings (P/E) ratio of approximately 13.14, indicating the market's valuation of its earnings [5][6] - The company's price-to-sales ratio is about 0.73, suggesting its stock is valued at less than its annual sales [5] - OIS maintains a low debt-to-equity ratio of 0.18, reflecting a conservative approach to debt and supporting its financial stability [5][6]

Financial Performance - For the three months ended September 30, 2025, total revenues were $165,180,000, a decrease of 5.7% compared to $174,348,000 in the same period of 2024[10]. - Product revenues increased to $106,492,000 in Q3 2025, up 5.0% from $100,798,000 in Q3 2024, while service revenues decreased to $58,688,000, down 20.2% from $73,550,000[10]. - The net income for the three months ended September 30, 2025, was $1,900,000, compared to a net loss of $14,349,000 in the same period of 2024, representing a significant turnaround[12]. - Operating income for the nine months ended September 30, 2025, was $15,664,000, compared to an operating loss of $20,173,000 for the same period in 2024[10]. - The company reported a comprehensive income of $600,000 for Q3 2025, compared to a comprehensive loss of $4,782,000 in Q3 2024[12]. - For the nine months ended September 30, 2024, the net loss was $26,422 thousand, compared to a net income of $7,869 thousand for the same period in 2025[19]. - Net income for Q3 2025 was $1.9 million, or $0.03 per share, compared to a net loss of $14.3 million, or $0.23 per share, in Q3 2024[120]. - Consolidated total revenues for the first nine months of 2025 decreased by $37.5 million, or 7%, compared to the first nine months of 2024, reflecting the exit of underperforming service offerings[144]. Assets and Liabilities - Total current assets increased to $511,194,000 as of September 30, 2025, compared to $498,226,000 at the end of 2024, reflecting a growth of 2.0%[15]. - Cash and cash equivalents increased to $67,052,000 as of September 30, 2025, up from $65,363,000 at the end of 2024[15]. - The total liabilities decreased slightly to $323,353,000 as of September 30, 2025, from $324,454,000 at the end of 2024[15]. - The company’s retained earnings increased to $281,529,000 as of September 30, 2025, compared to $273,660,000 at the end of 2024, indicating improved profitability[15]. - The total stockholders' equity decreased from $709,545 thousand on December 31, 2023, to $684,806 thousand by September 30, 2024, reflecting a decline of approximately 3.5%[18]. - As of September 30, 2025, total long-term debt was $1.89 million, a significant decrease from $124.65 million as of December 31, 2024[42]. - The outstanding principal amount of the 2026 Notes was $102.8 million as of September 30, 2025, down from $123.5 million as of December 31, 2024[52]. Cash Flow and Expenditures - Cash flows provided by operating activities for the nine months ended September 30, 2024, were $27,684 thousand, significantly lower than $54,975 thousand for the same period in 2025, indicating a 98.5% increase[19]. - The company reported capital expenditures of $8.71 million for the three months ended September 30, 2025, compared to $7.43 million in the same period of 2024[70][75]. - Capital expenditures totaled $28.2 million in the first nine months of 2025, compared to $23.3 million in the same period of 2024[170]. - During the first nine months of 2025, the company used $39.4 million in financing activities, including repurchasing $20.8 million principal amount of 2026 Notes for $20.3 million and repurchasing 3.2 million shares of common stock for $16.2 million[171]. Revenue Segments - The Offshore Manufactured Products segment generated revenues of $108.63 million for the three months ended September 30, 2025[70]. - The Completion and Production Services segment reported revenues of $27.53 million for the same period[70]. - For the three months ended September 30, 2025, total project-driven revenue was $97,901 thousand, an increase of 7% from $90,918 thousand in the same period of 2024[80]. - For the nine months ended September 30, 2025, total project-driven revenue reached $278,009 thousand, up 7% from $260,064 thousand in 2024[80]. - Revenues from products and services transferred to customers over time accounted for approximately 63% of consolidated revenues for the nine months ended September 30, 2025, compared to 67% in 2024[80]. Market Conditions and Challenges - The average price of Brent crude oil for the third quarter of 2025 was $69.03 per barrel, a decline from $80.01 per barrel in the same quarter of 2024[91]. - The average price of WTI crude oil for the third quarter of 2025 was $65.78 per barrel, down from $76.43 per barrel in the same quarter of 2024[91]. - The company anticipates that ongoing trade conflicts and increased crude oil production by OPEC+ will adversely affect demand for its products and services in the U.S. over the remainder of 2025[94]. - An explosion at a major supplier's facility is expected to disrupt the supply chain for perforating products, potentially affecting production in the latter part of Q4 2025[95]. Compliance and Governance - The company has filed various amendments to its Certificate of Incorporation and Bylaws, ensuring compliance with SEC regulations[3][3.2]. - Certifications from the Chief Executive Officer and Chief Financial Officer were submitted in accordance with the Securities Exchange Act of 1934[31.1][31.2]. - The company is committed to transparency and regulatory compliance through the filing of necessary certifications and reports[32.1][32.2]. - The Executive Vice President and Chief Financial Officer, Lloyd A. Hajdik, has signed the report, affirming its accuracy and completeness[209].